My case

My case: I consider government policy and actions to be the springboard for for-profits to create their business model. The huge influx of students enrolling at for-profits and the government funding of these students are allowing for-profits to reap large profits. What stands out is that the people who run the for-profits are aware that they are running a business that sole purpose is to make money. This equates to the minimal in everything regarding education at these colleges because funding education costs money. My conclusion is that our government has been bought out by for-profits to enable these business to prey on the lower class.

           

Here are some links that I use in my paper and are very interesting.

 http://www.huffingtonpost.com/2012/08/30/for-profit-colleges-lobbying_n_1842507.html

http://www.huffingtonpost.com/2012/06/26/for-profit-colleges-new-measures_n_1626286.html

http://www.theatlantic.com/features/archive/2014/08/the-law-school-scam/375069/

http://www.usatoday.com/story/news/nation/2013/11/25/federal-student-loan-profit/3696009/

For-Profit colleges gobbling up funds

Like the caption says, For-profits are gobbling up funds which come directly from tax payer dollars. This picture is of tremendous importance when you consider the extremely high default rates of students at for-profit institutions. This is meaning that the government is pouring money into a sector of higher education that does not produce much success but enriching its own executives.

LR #4

MCGUIRE, MATTHEW A. "Subprime Education: For-Profit Colleges And The Problem With Title Iv Federal Student Aid." Duke Law Journal 62.1 (2012): 119-160. Academic Search Premier. Web. 13 Nov. 2014.

This scholarly article's main conclusion concerning the negative outcomes of students is that "the blame lies not with for-profit institutions but with federal student-aid policy."“[T]his Nation could never rest while the door to knowledge

remained closed to any American,” President Johnson said. The article goes on to mention how colleges are opening their doors to many students, low-income included. Although for-profits are accepting many under privileged kids and adults, their success at these schools is not frequent but instead, outcomes are usually negative. The article continues and states that amendments to laws allow for-profits to consume low-income students who are attached to title IV grants and loans.

            This article has much of the same information about for-profits as do the others on my blog BUT! This article directly incorporates government action into the problem.

“The public supply model involves direct public investment in educational institutions. These subsidized institutions, in turn, can expand access to higher education because they can offer education at a lower price.”

 VS.

“The portable-subsidy model embodied by Title IV involves granting students portable government benefits, such as grants or loans with favorable terms, to expand access to higher education by enabling the student to defray the costs of attendance.”

Clearly, for-profits are making a killing from the portable-subsidy model. The combination of this and the predatory actions by for-profits recruiters creates a tough situation for any low-income individual seeking higher education.

--“An undercover investigation by the Government Accountability Office (GAO) found that recruiters at every for-profit school targeted by the study made deceptive, if not totally fraudulent, statements to investigators posing as prospective students.”